Latest news with #businessstruggles
RNZ News
6 days ago
- Business
- RNZ News
Survey reveals businesses fear upsetting gentailers if they complain about high energy costs
Auckland Business Chamber chief executive Simon Bridges Photo: RNZ / Samuel Rillstone Businesses say they are struggling to keep their doors open as energy costs surge, but they're reluctant to speak up in fear of retaliation from energy suppliers. An Auckland Business Chamber and Northern Infrastructure Forum (NIF) survey of small and medium sized businesses, heavily represented by manufacturers, found 90 percent identified energy costs as a primary concern, while half said the costs were highly concerning. Chamber chief executive Simon Bridges said energy costs combined with pressure from weak market demand, inflation and increased compliance costs had left many businesses struggling to keep their doors open. Bridges said one unexpected and troubling insight from the survey was the reluctance on the part of businesses to be identified when sharing their struggles with energy costs. "Many of the businesses we spoke to - especially those dependent on gas supply - were really uneasy about speaking publicly, for fear that it could jeopardise their ability to secure future energy contracts with the gentailers, who control close to 85 percent of the retail market. "Whether this fear reflects an actual or perceived risk, it points to serious issues with the way market power is being exercised, and is really worrying," he said. "It's high time the government had a good, hard look at the vertically integrated gentailer model, and the impact it's having on the performance of the sector." NIF executive director Barney Irvine said the survey results also underlined the drag that energy costs were placing on New Zealand's growth and productivity. "As a response to rising energy costs, 52 percent of business surveyed say they have increased the prices they charge to customers," Irvine said. "A quarter say they cut back production. The same proportion say they have laid off staff and just under 20 percent have cancelled or deferred investment." The survey found more than three-quarters of respondents believed the government should treat addressing energy costs as a high or very high priority. "The government has a good sense of what needs to be done to turn the performance of the sector around for the long-term," Irvine said. The Chamber and NIF wanted to see the government implement a 10-point energy action plan they launched in February to address the issues raised by the survey. The four big energy companies have been asked for comment.
BBC News
27-05-2025
- Business
- BBC News
Soft play owner in Newark 'losing sleep' over struggling business
Looking out over nearly empty soft play equipment that should be packed full of sticky fingers and laughing children, Tim Dallison says the sight of his struggling business makes him "panic and lose sleep at night".The 42-year-old is the managing director of Robin Hood Entertainment and Soft Play in Newark, Nottinghamshire, which has just celebrated its fourth Dallison opened the business to satisfy his love of entertaining, after a 20-year career touring as a Robbie Williams tribute act. But four years on, the unseasonably warm weather and increases in business rates, combined with a rise in the cost of living, has left the business on the brink of closure. Mr Dallison invested his house deposit and small loans from friends and family to buy the business in said he could not afford to pay rent, so spent the first two years running it homeless. "The reality is, I just bought a mattress and put it on the floor of the office," he said."I couldn't afford to pay staff at the time so I'd work big days and then get my head down here."I've made so many sacrifices, but it's not guaranteed that we'll still be here next year. I'll sell everything I have and borrow before I admit defeat though." This spring is ranking as the driest in over a century, according to the Met many families, that has meant more time outside, but for Mr Dallison's business, it has contributed towards him running at a loss since March."I live in a house with five kids so I do understand it, if the sun comes out we're in the fields or swinging from trees, but wow," he said."Last year, March and April were my best months, but this year, because summer started in March they're my worst."We're down 40% on where we were this time last year and my overall costs have gone up a minimum of 20% because business rates have almost doubled, minimum wage has gone up and so has National Insurance."From 6 April, National Insurance contributions for employers went up from 13.8% to 15%, there was a reduction in business rate discount and an increase in the minimum 2020, businesses like cafes, bars and retail units have had a 75% discount on business rates - capped at £110,000 per business - but that also expired at the start of the new financial year."I lose a lot of sleep knowing I have to put the prices up and face my customers," Mr Dallison said."I'm not trying to get a bigger house or a bigger car. I'm taking more and making less." Molly Harrison is a stay-at-home mum to her two-year-old 26-year-old, from Newark, said the rising cost of living has meant she is visiting soft play centres less."Since she turned two, the price of coming to places like this has almost doubled," she said. "And then there's the food. For entry and then coffee for me it costs around £15. I try and budget around £30 for extra bits each week so that's half of that."I have to think is this the best way to keep her entertained when I could take her to a park for free?"It is the same for 30-year-old mum Amy Dey, from works as a veterinary nurse and has had to pick up extra hours to make ends meet."Everything's just so expensive," she said. "We're having to cut back on the things we do with him that cost money because we have to be a bit more careful."They still have a great childhood, but we're doing lots more stuff at home." 'Worse than Covid' Robin Hood Entertainment and Soft Play is not alone in its struggles, according to the Association of Indoor organisation has said it does not have precise data to show how many indoor venues have shut over the past year, but that evidence suggests about 10% of the industry has Forster is on the executive board and also own Safari play described the situation as "heart wrenching"."During Covid, we were in exactly the same position and I had to borrow six figure numbers just to survive."But for some business owners, this period will be worse because during the pandemic you could switch off a lot of your costs and there was help."Now, the costs keep coming. Rent keeps coming. Wages, energy, you've got to keep the building open."
Yahoo
22-05-2025
- Business
- Yahoo
Businesses left struggling 5 years after George Floyd's murder
The Brief Businesses near 38th and Chicago, where George Floyd was killed in 2020, are struggling five years later. The intersection was closed to traffic for over a year and many businesses have closed. Locals have lost money and some businesses have since sued the city of Minneapolis. MINNEAPOLIS (FOX 9) - You can't tell the story of what Chicago Avenue is today without telling the story of an ongoing and frustrating five-year conversation. The debate over George Floyd Square has lasted years. What will George Floyd Square look like eventually? We don't know. The city council and Minneapolis mayor haven't agreed on how to transform the space and business owners say it is costing them their jobs. "Business is very slow in this area," owner of Just Turkey restaurant, Sam Willis, said. "I have four children. I want to be able to put them through college and things of that nature, but at this point, I'm not able to." Big picture view Before the murder of George Floyd, business was booming near 38th and Chicago in Minneapolis. That changed after May 25, 2020. Immediately after Floyd's death, the area became a memorial site. While parts of the city experienced protests, riots, and looting, the business owners near 38th and Chicago tried to protect their buildings. "We were standing, we were using our bodies to stand there, we were using garbage cans, and we started using vehicles," AGAPE member Reginald Ferguson said. In a sense, Ferguson and others in the area are still protecting their space. "This is our last year. This is the last year. We're gonna be heard," Dwight Alexander, the owner of Smoke in the Pit said. Alexander's family started the business in 2013. He took over in 2021. "Like they say, we lose one sense, you gain another sense. By of the poor traffic being here, I'm tapping into other little things." Ace Rice, owner of PLOT Gallery is new to the space and is optimistic, hoping for a turnaround. "There is at least 12 black-owned businesses and at least if you include culinary arts, at least eight arts organizations all on one block," Rice said. "I think that's something really special." All the businesses decided to open their doors because of the constant flow of traffic which has barely seen movement. They've voiced their concerns about visitors stopping by George Floyd Square to visit, but never spending time shopping locally. "Upuntil 2020, I would say we just saw things really start to pop. Every single storefront here was full. There was a lot of activity. There was lot of stuff going on. It is different now," owner of Chicago Avenue Fire Arts Center, Victoria Lauing said. The backstory "How many people have you seen leave?" FOX 9 reporter Symone Woolridge asked. "Oh, several. So many," Willis said. "Even the guy that, you know, helped George Floyd, helped the guy get convicted for the murder. He had a Black Chinese spot right here. He had to move out because he couldn't afford it, you know. He wasn't generating any income." From shoe stores to clothing stores, many stores that were open near 38th and Chicago are no longer there. One business was only able to place signage but never opened and decided to open elsewhere. The argument about George Floyd Square has impacted businesses tremendously. It has been a frustrating conversation for them. "They don't spend no money on this block, but they'll be standing up there doing an interview in front of a camera and then they get in their car and they leave," Ferguson said. "And that's what happens when everybody listens to them and they get their voice heard, and now we say, now this is what we're doing. We're going to do it because of what? We got city councilmen that don't even be in this part. And they're over here telling us what we should do with our community, that we have to deal with every day ourselves." Majority of the council wants a pedestrian mall which would also include a place to honor Floyd. "It's bigger than a memorial," AGAPE member Bridgette Stewart said. Stewart and the other business owners agree with having a place to honor and remember Floyd, but they don't want to have to pack up and find a new home. "By opening up the street, other businesses were able to come in and become somewhat successful. But we want to see them flourish like they were before 2020," Stewart said. "We love this community, we're here for a reason. We don't intend to go anywhere. It has been a struggle, but we are committed and we're, we are here for the long haul," Lauing said. "What I really enjoy is the resilience of this group, and that perhaps this is the first time in Minnesota we refuse to perform what justice looks like, and we really sort of dig in and make sure that we actually get there," owner of Bichota Coffee Terrance Anderson said. "It's beyond just trying to sustain. We need to be able to regenerate," owner of City Food Studio Lachelle Cunningham said. "We need be able heal. We need able to invest back in so that we can create something greater." Local perspective "When the ambulance couldn't come through here, they was telling us to bring the bodies down there to them because they wouldn't come here without a police presence," Edwin Reed said as he spoke with two patrol officers. Reed owns Sincere Detailing Pros. He's one of many that have sued the city, claiming it failed to protect his business. He remembers the horrifying days in 2020 and 2021. The street near 38th and Chicago was closed for over a year, leading to high crime. It was known as a "no-go zone" and police rarely went inside, with the zone blocked by barricades. "Where were you guys for four years straight?" Reed asked patrol officers Drea Mays and Xander Krohnfeldt. The two have been patrolling the area for over a year now, hoping to build trust in the community. "I can appreciate when things are going crazy. And there's not cops to respond. And there were plenty of times where I was on the ambulance and I'd ask for cops, and they'd say, nope, there's no cops, even when the ambulance was asking." Krohnfeldt was a paramedic at the time. READ MORE: At George Floyd Square, these officers hope to build trust in MPD "Now we see firsthand what it's like to not have the police in your community. Because we was in our community, policing our community but we wasn't arresting anybody," Ferguson said. After the experiences that have shifted their livelihood, the businesses are hoping they can go back to what they remember before everything changed in 2020.
